Buying vs. Leasing Your EV Battery

Buying Your Electric Car Battery

When considering the purchase of an electric vehicle, one crucial aspect to think about is the battery. It's the heart of your car, powering the vehicle and determining its range, performance, and overall sustainability. Here’s a look at the pros and cons of buying an electric vehicle with its battery:



No Monthly Payments:

Buying your EV complete with the battery means no outgoings after purchase.

Higher Initial Cost:

The value of the battery increases the upfront cost.

Resale Value:

EVs sold with the battery included tend to have a higher resale value. It makes the car more attractive to potential buyers, because there's no lease.

Depreciation and Technology Advancement:

An owned battery might become outdated due to rapidly advancing technology, which can also affect the vehicle's efficiency and performance.

Battery Technology and Warranty:

Modern EV batteries tend to come with warranties because they're designed to last. Often coming with cover for 8 years, or 100,000 miles, providing peace of mind regarding battery life and replacement costs.

Replacement Costs:

If a battery needs replacement outside of warranty, the cost can be substantial, sometimes running into the thousands.

Unlimited Mileage:

Without a lease, you don't have stick within mileage limits, which can be costly if you exceed them.

Weight and Efficiency Concerns:

As technology progresses, newer models may offer better range with lighter batteries, which might make older models less appealing.


Leasing Your Electric Car Battery

Leasing an electric vehicle (EV) battery, as opposed to buying the battery along with the vehicle, can present a different set of advantages and challenges. Here’s an in-depth look at the pros and cons of leasing a battery:



Lower Initial Cost:

Leasing can significantly reduce the upfront purchase price of an EV, making them more accessible to buyers.

Ongoing Payments:

You'll have monthly payments for as long as you own the car, which could make an electric car more expensive in the long-term.

Battery Performance Guarantee:

Battery leases often come with a performance guarantee, ensuring that the battery maintains a certain level of efficiency and range throughout the lease term.

Battery Swap/Upgrade Fees:

Leasing allows access to newer battery technology, but swapping or upgrading to a newer battery during the lease could incur additional fees.

Flexibility with Advancing Technology:

Leasing allows drivers to benefit from the latest battery technology without the commitment of ownership.

Dependency on the Leasing Company:

Your EV’s performance and reliability are tied to the terms set by the leasing company.

No Long-Term Depreciation Concerns:

The risk of battery depreciation falls on the leasing company, not the vehicle owner.

Limited Customisation and Upgrade Options:

Battery lease agreements may restrict your ability to customise or upgrade the vehicle.

Lower Monthly Costs:

Monthly lease payments for a battery can be lower than the cost of maintaining a purchased battery.

Mileage Restrictions:

Some battery leases come with mileage restrictions, with fees applied if these limits are exceeded.

Whichever decision you make should be based on your individual needs. Consider your finances, driving habits, and approach to sustainability to help you make the decision to buy or lease your electric vehicle battery.

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